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4 years ago

LO 3.3When sales price increases and all other variables are held constant, the break-even point will ________.

Business

1 answer:

malfutka [58]4 years ago

8 0

Answer:

decrease

Explanation:

The break-even point is where costs or expenditures are equal to profit, especially in cost accounting in the economy and in businesses. There is no gain or loss at this point. Break-even analysis is a profitability analysis and helps businesses make strategic decisions, taking into account both fixed and variable expenses. The analysis achieves the point at which profits can be made if firms continue to produce by establishing a relationship between sales, expenses and profit.

Let's see all the conditions:

When sales price increases: Break-Even Point Decreases

When sales price decreases: Break-Even Point Increases

When variable costs increase: Break-Even Point Increases

When variable costs decrease: Break-Even Point Decreases

When fixed costs increase: Break-Even Point Increases

When fixed costs decrease: Break-Even Point Decreases

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Explanation:

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Answer:

D. Database Administrator

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3 years ago

Sparks Company's SUTA rate for next year is 3.25% because its reserve ratio falls into the state's 10% to less than 12% category

Hatshy [7]

Answer:

$7,747.8

Explanation:

Given:

Average payroll = $3,521,790

Initial (contributions - benefits paid) = $414,867

Now,

Minimum contribution amount to qualify for bracket 12% to less than 14%

also,

[contributions- benefits paid] = Percentage × average payroll

[contributions- benefits paid] = 12% × $3,521,790

[contributions- benefits paid] = $422,614.8

so the required ( contributions- benefits paid ) is $422,614.8

Thus,

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4 0

3 years ago

Which of these is a major criticism of scientific management?

PtichkaEL [24]

Answer:

The correct answer is the option C: It ignored the social context of work.

Explanation:

To begin with, the name of <em>"Scientific Management"</em> refers to the theory created by Frederick Taylor that focus on the study of the work environment around the years of the industrilization process back then. Therefore that this concept is quite ancient in terms that only looks for that the worker can do and how can he do it faster and more efficiently. A major importance of this study was the use of measuring the time of every worker to see how they were going. So, it is understandable that this process is criticized by many managers of today because it does not have in mind the social context of the workers and only sees them as machine without personal goals outside the work.

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3 years ago

Green Corporation has total sales revenues of $400,000. If its total fixed costs are $70,000 and its total variable costs are $1

Georgia [21]

Answer:

Part 1

the contribution margin is $220,000

Part 2

the net change in operating income is $270,000

Part 3

Stanley's Bicycles contribution margin is $7,500

Explanation:

Green Corporation Contribution Margin Statement

Sales revenues $400,000

Less Variable costs ($180,000)

Contribution $220,000

Less Fixed Cost ($70,000)

Net Income $150,000

Frost Company Contribution Margin Statement

Contribution ($49 x 10,000) $490,000

Less Fixed Cost ($70,000)

Net Income $420,000

Change = $420,000 - $150,000 = $270,000

Stanley's Bicycles Contribution Margin Statement

Sales Revenue ($750 x 200) $150,000

Less Variable Costs :

Cost of Sales ( $600 x 200) ($120,000)

Commission ($150,000 x 15%) ($22,500)

Contribution $7,500

Less Fixed Costs

Rent expense ($1,400)

Salaries ($3,000)

Net Income $3,100

8 0

3 years ago